HomeMy WebLinkAboutResolution 2001-066 letter of credit for canyon pass at dove mountain phase IV-A F. ANN RODRIGUEZ, RECORDER ~ DOCRET: 11565
RECORDED B~: VLW ~ PAGE: 3319
DEPUT~ RECORDER NO. OF PAGES: 5
7995 ROOA SEQUENCE: 20011101097
SMARA 06/07/2001
C TOWN OF MAI~ANA RES 16:32
ATTN: TOWN CLERK
13251 N LON ADAMS RD M~IL
M~RANA AZ 85653
AMOIINT PAID $ 8.00
MARANA RESOLUTION NO. 2001-66
A RESOLUTION OF THE MAYOR AND COUNCIL OF THE TOWN OF MARANA, ARIZONA,
AUTHORIZING THE SUBSTITUTION OF AN IRREVOCABLE STANDBY LETTER OF
CREDIT NO. S25122Z WITH AMENDMENT AS ASSURANCE FOR THE COMPLETION OF
PUBLIC IMPROVEMENTS IN CANYON PASS AT DOVE MOUNTAIN PHASE IV-A, LOTS
182-227 AND AUTHORIZING THE RELEASE OF THE SUBSTITUTE ASSURANCE
AGREEMENT ORIGINALLY SUBMITTED BY COTTONWOOD PROPERTIES, INC., UNDER
TRUST NO. 7825-T, AND LAWYERS TITLE OF ARIZONA, INC., FOR THE COMPLETION
OF SUBDIVISION IMPROVEMENTS.
WHEREAS, the Town has previously entered into a Substitute Assurauee Agre~a~nt with
Cottonwood Properties, Inc., (beneficiary) under Trust No. 7825-T and Lawyers Title of Arizona,
Inc. (trustee), recorded at the Pima County Recorder's Office at Docket 11556, Page 2844 assuring
the completion of public improvements on the property described on Exhibit B attached hereto and
incorporated herein by this reference; and
WHEREAS, Cottonwood Properties, Inc., is requesting release from the Third Party Trust
Substitute Assurance Agreement, and desires to provide an Irrevocable Standby l_~ter of Credit as
a Substitute Assurance for completion of the remaining subdivision improvements; and
WHEREAS, the date and place of expiry for the Irrevocable Standby Letter of Credit No.
S25122Z with amendment is May 8, 2002, Houston, Texas; Cottonwood Properties agreed to submit
a revised construction cost estimate, certified by the Engineer of Record, sixty (60) days prior to
expiration of the Irrevocable Standby Letter of Credit; and
WHEREAS, those improvements guaranteed by the Irrevocable Standby Letter of Credit are
incomplete and in non-conformance with the plans and specifications approved by Town of Marana,
Cottonwood Properties, Inc. agreed to provide the Town of Marana an amendment extending the
expiration date for a period not less than an additional three hundred sixty-five (365) days; and
WHEREAS, upon comoletion of those improvemems guaranteed by the Irrevocable Standby
Letter of Credit, Cottonwood Properties, Inc. shall provide to the Town of Marana those documents
required by Ordinance 92.03 for release of performance guarantees.
NOW, THEREFORE, BE IT RESOLVED by the Mayor and Council of the Town of
Marana, Lots 182-227 are released from the Third-Party Trust Substitute Assurance Agreement for
Completion of Subdivision Improvements, and the Irrevocable Standby Letter of Credit No. S25122Z
with amendment in the amount of $1,803,061.82, posted by Cottonwood Properties, as a substitute
assurance, attached hereto as Exhibit A and incorporated herein by this reference, is hereby accepted,
and Town staff'is directed to take any necessary and proper action to effectuate this Resolution.
PASSED AND ADOPTED by the Mayor and Council of the Town of Mamna, Arizona, this
5th day of June, 2001.
ATTEST: ~, JR.
APPROVED AS TO FORM:
F/ - Daniel J. Hochuli
As Town Attorney and not personally
Compass Bank ,.Xer.a,,ona, Tra,eServ,c.
RO. Box 4444
Houston, Texas 77210-4444
713 867-2717 / Fax 713 867-2700
Telex 6737349
www.compassweb.com
IRREVOCABLE STANDBY LETTER OF CREDIT NO. S25122Z
PLACE AND DATE OF ISSUE: DATE AND PLACE OF EXPIRY:
HOUSTON, TEXAS MAY 11, 2001 MAY 08, 2002 HOUSTON, TEXAS
APPLICANT: ADI/I$1NG ~,NK:
RITA LAND CORPORATION NOT AP~LICAI~LE
3567 E. SUNRISE DR., STE. 219
TUCSON, ARIZONA 85718
BENEFICIARY: AMOUNT: USD1,803,061.82
TOWi~ OF MARANA (ONE MILLION EIGHT HUNDRED THREE
3696 W. ORANGE GROVE ROAD THOUSAND SIXTY-ONE AND 82/100 U.S.
TUCSON, ARIZONA 85741
GENTLEMEN,
WE HEREBY ESTABLISH OUR IRREVOCABLE STANDBY LETTER OF CREDIT IN YOUR FAVOR AVAILABLE
BY BENEFICIARY'S SIGHT DRAFT(S) DRAWN ON COMPASS BANK ACCOMPANIED BY THE ORIGINAL OF
THIS LETTER OF CREDIT AND THE FOLLOWING DOCUMENT(S):
· ORIGINAL OF BENEFICIARY'S MANUALLY SIGNED STATEMENT STATING THAT:
QUOTE
WE HERI~BY CERTIFY THAT THE REQUIRED COMPLETION OF SUBDIVISION' IMPROVEMENTS HAVE
NO'f HEEIq COMPLETED BY RITA LAND CORPORATION FOR CANYON PASS IV-A AT DOVE
MOUNTAIN SUBDIVISION, LOTS 182-22'~ ONLY, WHICH ARE IN NON-CONFORMANCE WITH THE
PLANS AND SPECIFICATIONS APPROVED BY THE TOWN OF MARANA.
UNQUOTE
SPECIAL CONDITIONS:
PARTIAL DRAWING(S) ARE NOT PERMITTED.
DRAFT(S) MUST BE MARKED: "DRAWN UNDER COMPASS BANK LETTER OF CREDIT NO. S25122Z.'
WE HEREBY ENGAGE WITH YOU THAT ALL DgAFT(S) DRAWN UNDER AND IN COMPLIANCE WITH ALL
THE TERMS AND CONDITIONS OF THIS CREDiT WILL BE DULY HONORED IF DRAWN AND PRESENTED
FOR PAYMENT BETWEEN THE HOURS OF 8:00 A.M. AND 4:00 P.M. MONDAY THROUGH FRIDAY ON A DAY
WHEN THE INTERNATIONAL TRADE SERVICES OFFICE IS OPEN FOR BUSINESS AT 204 W. 19TH STREET,
3RD FLOOR, HOUSTON, TEXAS 77008 ON OR BEFORE THE EXPIRATION OF THIS LETTER OF CREDIT.
THIS LETTER OF CREDIT IS SUBJECT TO THE I.IqIFORM CUSTOMS AND PRACTICE FOR DOCUMENTARY
CREDITS (1993 REVISION) INTERNATIONAL CI~AMBER OF CO~.~.AERCE PUBLICATION NO. 500.
ALT!rHORIZED S{GNA~dRE {I
TLC
05-1 ;.-01 /x
EXHIBIT A
Compass Bank
R O. Box 4444
Houslon, Texas 77210-4444
713 867-2717 / Fax 713 867-2700
Telex 6737349
w~w.compassweb.com
AMENDMENT TO LETTER OF CREDIT NO. S25122Z
DATE: MAY 25, 2001
APPLICANT: BENEFICIARY:
RITA LAND CORPORATION AND/OR TOWN OF MARANA
COTTONWOOD PROPERTIES 3696 W. ORANGE GROVE ROAD
3567 E. SUNRISE DR., STE. 219 TUCSON, ARIZONA 85741
TUCSON, ARIZONA 85718
AMENDMENT NUMBER ONE (1)
GENTLEMEN:
PLEASE BE ADVISED THAT THE SUBJECT LETTER OF CREDIT HAS BEEN AMENDED AS FOLLOWS:
· APPLICANT'S NAME HAS BEEN AMENDED TO READ:
RITA LAND CORPORATION AND/OR COTTONYVOOD PROPERTIES
· DELETE BENEFICIARY'S MANUALLY SIGNED STATEMENT IN ITS ENTIRETY AND INSERT:
QUOTE
WE HEREBY CERTIFY THAT THE REQUIRED COMPLETION OF SUBDIVISION
IMPROVEMENTS HAVE NOT BEEN COMPLETED BY RITA LAND CORPORATION AND/OR
COTTONWOOD PROPERTIES FOR CANYON PASS IV-A AT DOVE MOUNTA/N SUBDIVISION,
LOTS 182-227 ONLY, WHICH ARE IN NON-CONFORMANCE WITH THE PLANS AND
SPECIFICATIONS APPROVED BY THE TOWN OF MARANA.
UNQUOTE
THIS AMENDMENT IS TO BE CONSIDERED AS PART OF THE ABOVE CREDIT AND MUST BE
ATTACHED THERETO.
ALL OTHER TERMS AND CONDITIONS OF THE CREDIT REMAIN UNCHANGED.
PROVISIONS APPLICABLE TO THIS CREDIT: THIS CREDIT IS SUBJECT TO THE UNIFORM CUSTOMS
AND PRACTICE FOR DOCUMENTARY CREDITS (1993 REVISION) INTERNATIONAL CHAMBER OF
COMMERCE, PUBLICATION NO, 500.
A'0THOmZffD SI~NA~IRE 3
TLC
EXHIBIT A
CONTINUED
~89
200
186
195
193 202
194
205 211
~~..206 208 212
207 225
225
Note: All Streets are Private
LOCATION MAP
CANYON PASS IV-A AT DOVE MOUNTAIN ~
LOTS 182 - 227 /~
EXHIBIT B